Defense Attorneys, Jurors Say Iranscam Was Handled Poorly

December 18, 1985|By Jim Leusner of The Sentinel Staff

The acquittal of four people in the Iranscam missile-smuggling conspiracy case -- and dismissal of charges against a fifth defendant by a judge -- has defense attorneys crying foul over the FBI's handling of the controversial investigation.

With only two defendants convicted, defense attorneys say the case is another major embarrassment to the Justice Department. The agency has come under fire in recent years for its handling of undercover operations such as Abscam in which FBI agents and informants posed as criminals to catch corrupt members of Congress.

While defendants are considering filing suits against the FBI and its informants, defense attorneys are pressing for an FBI internal investigation and a congressional probe into alleged government misconduct.

Jurors in the case, which was tried in Orlando, have vowed to write to their congressmen to dramatize flaws in the probe.

''I have to say that I would not condemn the FBI as a whole, but I do question the way some of the individuals handled the case,'' said juror John Noonan of Orlando. ''They started off with very good intentions, but they just let it get out of control.''

Perry Doran, head of the FBI office in Orlando, who supervised the probe, said his agency conducted a ''thorough investigation'' but had no control over the verdict, which was announced Monday.

''We followed proper procedures,'' Doran said. ''We have no excuses and have no apologies to offer.''

During the five-month probe, undercover FBI agents and an informant posed as Mafia figures and thieves with access to 1,140 stolen anti-tank missiles that the defendants wanted to buy.

Testimony during the six-week trial showed that only four of seven defendants in the case were told that the missiles were stolen or destined for sale to Iran. Arms shipments to Iran are prohibited by federal law unless the government approves.

But several defendants contented that another defendant, publisher and arms dealer Paul Cutter, 48, of San Jose, Calif., said he was a U.S. government intelligence officer who had Pentagon approval to conduct an ''under-the-table'' sale to Iran. Cutter and another arms dealer were convicted.

Cutter's statements were beyond the control of FBI agents and informants who at times told the defendants that the deal was illegal, said Assistant U.S. Attorney Stephen Calvacca. Those alleged statements were made outside the presence of the FBI and informants, which gave some legitimacy to defense claims that defendants thought the deal was legal, Calvacca said.

Jurors said that was the key issue that led to the acquittals.

According to defense attorneys, jurors, other observers and testimony in the case, other crucial errors were committed in the investigation. For example:

-- When FBI agents in Orlando failed to receive help from the agency's Los Angeles office during the undercover portion of the probe, they recruited an associate of the chief informant in the case, Anthony Romano, 58, of Altamonte Springs, to act as a ''West Coast representative'' of Romano. Romano has been identified by the FBI as a Mafia figure.

The associate, Rick Maldonado of Los Angeles, was accused by several defendants of threatening to kill them if they withdrew from the deal or did not come up with $300,000 in shipping costs for the missiles. Maldonado was not charged and did not testify, but Romano said Maldonado, who was promised a $1.5 million cut of the $10.12 million sale, was unaware he was being used by the FBI. Defendants said Maldonado also represented himself as a member of the Mafia.

Jurors and other observers said more undercover FBI agents should have been brought into the case and that Romano and Maldonado should have been removed from the investigation early on.

FBI agents testified that U.S. Attorney Robert Merkle of Tampa approved the plan to use Mafia figures to pose as weapons suppliers. ''He is the Darth Vader of the criminal justice system for approving the use of the Mafia in an undercover operation,'' said defense attorney Don Lykkebak of Orlando, whose client was acquitted.

Merkle could not be reached for comment Tuesday.

-- Although Romano testified that he was involved in between 150 and 200 telephone calls with the seven defendants, none were tape recorded. Jurors said they would have liked to hear those discussions because several defendants contended that Romano threatened them during the calls.